Port Authority defends tariff petition and press for crane funding as aging equipment threatens operations

Director Faye Ballas told legislators the Port Authority of Guam is pursuing a tariff adjustment at the Public Utilities Commission to bring labor charge‑out rates current and to create a sustainable path for capital upgrades, including replacement gantry cranes.

Ballas said the port filed the tariff petition after labor rates last changed in 2020 and cited a PUC consultant report that recommended an annual escalation ("4% or the CPI, whichever is higher"). She and the board have authorized the petition, and Ballas said the matter is now before the PUC; she and the board have not opposed an implementation date of January 2027 if the commission so decides.

Why it matters: Ballas said the port’s main operational risk is failing crane capacity. The ports’ major ship‑to‑shore cranes are about 42 years old and, staff and officials told the committee, maintaining them is increasingly difficult. Ballas warned that losing a crane would delay military cargo and other throughput, and said the port is lining up multiple funding options — merit grants, public‑private partnerships and potential bond borrowing — so procurement can proceed as soon as awards and approvals arrive.

Top points and fiscal details Ballas recounted absorbing an FY2019…